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Examples

  • Scale advantages come from the size of the fixed-cost base relative to overall costs, and in a vast global market more players can justify the fixed-cost “nut” required to operate competitively.

    The Moguls’ New Clothes

  • We estimate the catalog industry paid $3.6 billion in postage, generating more than $1 billion of fixed-cost coverage above what it cost the USPS to deliver the catalogs.

    The U.S. Needs a Revamped 21st Century Postal Service

  • As it does, margins could collapse as the fixed-cost base of running college campuses stays high.

    Hard Knocks In Store for ITT Investors

  • First, it radically reduces the fixed-cost nut required to engage in all manner of activities.

    The Moguls’ New Clothes

  • First, it radically reduces the fixed-cost nut required to engage in all manner of activities.

    The Moguls’ New Clothes

  • For a fixed-cost investor (one whose expenses aren't closely tied to inflation), that's a 90% chance of (historical) success.

    Safe Investing, Arnold Kling | EconLog | Library of Economics and Liberty

  • For more than two decades, China's philosophy of monetary management and financial system development has been based on a closed-economy system: maintaining low and stable interest rates without having to worry about external arbitrage; breezily adopting economic stimulus when needed without concern about the underlying banking system's asset quality; propping up banks with historically high nonperforming loan ratios and fixed-cost pricing; and keeping iron-clad control over the value of the exchange rate.

    Is China Eclipsing the U.S.? Hardly

  • For more than two decades, China's philosophy of monetary management and financial development has been based on a closed-economy system: maintaining low and stable interest rates without having to worry about external arbitrage, breezily adopting economic stimulus when needed without concern about the banking system's asset quality, propping up banks with historically high nonperforming loan ratios and fixed-cost pricing, and keeping iron-clad control over the exchange rate.

    Why China Is a Financial Midget

  • Nor is there something metaphysically out of whack about charging overage penalties for access to a fixed-cost network, even if the cost of delivering the next byte is nil.

    Internet Data Caps Cometh

  • Scale advantages come from the size of the fixed-cost base relative to overall costs, and in a vast global market more players can justify the fixed-cost “nut” required to operate competitively.

    The Moguls’ New Clothes

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